2017 is definitely a healthy and stable year for the Mauritian real estate market. In the first quarter of 2017, the real estate market recorded a growth of 4.5%, 1.9% more than December 2016. This information is contained in a just-released Statistics Report. It proves that the real estate sector is actually the most profitable market in the Mauritian economy. In fact, for the first term of 2017, the figures are quite promising. During this period, 6 billion rupees were invested in residential projects and 2.5 billion in non-residential projects. These investments account for 44% of Gross Fixed Capital Formation (GFCF). Over the past decades, over 366 billion rupees have been invested in the real estate market, representing 59.5% of Private Sector Investment (PSI).
Dynamic and highly profitable
Regarded internationally as being dynamic and highly profitable, the Mauritian market attracts many investors. According to a recent survey, a growing number of local and foreign investors have injected or planning to inject huge amounts of money into the real estate market. It is expected that 4500 to 5000 housing units will be sold annually till 2025. This forecast is just another element which proves that the Mauritian real estate sector is stable and profitable. Considered as a profitable investment, the Mauritian real estate market attracts each year an increasing number of foreign investors.
According to the statistics recently published by the Bank of Mauritius (BoM), investment in the real estate sector was estimated at 9.9 billion rupees in 2016 or 72.8% of Foreign Direct Investment (FDI). The projects implemented through the Integrated Resort Scheme (IRS), the Integrated Hotel Scheme (IHS) have attracted several foreign investors. These schemes have generated more than 8 billion rupees. 2,246 residential units were sold under these plans, i.e. 1509 units sold between 2005 and 2014 and 737 units from 2015-to date.
An internationally recognized market
According to the Statistics Mauritius, 6,443 permits were issued in 2016 for the implementation of residential projects. More than one million square meters of land have been used to carry out these projects. Half of the permits that have been allocated were for the implementation of residential projects from 65 to 139 m2 and about one third projects for projects ranging from 140 to 299 m2. Only 2% of permits were for the implementation of residential projects of more than 500 m2.
The most popular areas for residential projects are along the north coast. According to Statistics Mauritius, more than 654 permits have been issued for residential projects in Grand Bay, representing approximately 116 870 m2 of land. The Black River coastal village is also very popular for this type of property development. 143 405 m2 of land was allocated for residential projects. Several other residential projects were carried out in the Pamplemousses district, i.e. 120 118 m2.